Importance of Planning a Post-Divorce Budget

For any recently separated or divorced spouse, re-working the monthly household budget can seem like a daunting, impossible task. In many cases, recently separated spouses struggle to adjust to going from a two-income household to one with just a single wage-earner. For families with children, making ends meet may seem unmanageable at first. A Collaborative neutral financial specialist provides budgeting advice, financial projections, and, ultimately, peace of mind. If you are in the midst of a separation or divorce and are struggling to sort out your finances, a Collaborative neutral financial specialist can help you develop a plan to manage your money and cover your expenses, and perhaps even start saving for the future.

Budgeting for Life after a Separation or Divorce

In the Collaborative Process, you and your former spouse will reach a settlement agreement that shares between you the property and debts you acquired during the relationship. Inevitably, your financial obligations and household income will change, and sometimes quite significantly.

When budgeting for life after separation, your Collaborative neutral financial specialist will begin by having you list all of your income and monthly expenses, including, for example, all your and your children’s housing, food, clothing, and transportation expenses, as well as debt payments and charitable giving.

If there is too much month at the end of the money, your Collaborative neutral financial specialist can help you find solutions to reduce your monthly expenses and create some breathing room to get you and your spouse back on track financially.

If you are considering a divorce and you have young children, their emotional and mental stability is undoubtedly your greatest concern. While research has proven the remarkable resiliency of children…